I'm currently selling my home, buying another, and I'm wondering now if this is a good idea. I am buy high, and sure that I am selling high, but I want to get into real estate investment. Will this push my debt to income ration too high to get lenders to look at my proposals? If so, what are some ways forward for me? How can I still get others to invest in me while I try to move forward.
Real Estate Broker · Huntsville, AL · Member since 2019 · 1k+ posts · 872 votes
5y
If your mortgage payment is excessively high in comparison to your income then yes, your DTI will be too high and it will affect how lenders lend to you.
@Stephen Brown, thanks so much. I'll be at around 31% and that may be too high for some. Do you have any suggestions as to how I can lower this? I haven't closed on my new home yet so I'm sure the short answer would be to not buy the house, lol. It's not an outrageous purchase, the market has just been crazy, as I'm sure you know. Do you have any creative solutions that you could share?